The Federal News Network reports that the IRS is planning to cut up to 40% of its workforce after wrapping up this year’s tax filing season. They will eliminate the Civil Rights and Compliance Office.
An internal memo obtained by Federal News Network states the IRS will begin sending out bi-weekly Reduction in Force (RIF) notices starting this week.
By the end of these workforce reduction efforts, the IRS will reduce its initial workforce of 102,000 employees to approximately 60,000 to 70,000 employees.
The IRS will conduct the RIF in two phases and target more severe cuts in specific offices. The memo states, “taxpayer services and compliance will need to be trimmed.”
Multiple sources familiar with the situation say the goal of the cutbacks could be helped by over 20,000 IRS employees who are expected to leave the agency through the IRS’s own Deferred Resignation Program offer, known as DRP 2.0. Bloomberg Tax first reported this.
When asked about the 20,000 leaving via the DRP 2.0, the Treasury spokesperson pointed to the Biden administration’s growth of the IRS by over 22,000 employees through $80 billion in funding from the Inflation Reduction Act.
About 25,000 more will be dismissed.
Undoubtedly, the lawsuits to block the firings are ready to go.
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